Proposal to list single use instruments, and orthopaedic implants and associated products

Hospital devices

Consultation Closed

What we’re proposing

PHARMAC is seeking feedback on a proposal to list a range of single use instruments (SUI), and orthopaedic implants and associated products (orthopaedic products) in Section H Part III of the Pharmaceutical Schedule from 1 June 2018.

We propose to list a range of SUI and orthopaedic products supplied by:

  • Downs Distributors New Zealand Limited (“Downs”); and
  • Surgico Medical and Surgical Limited (“Surgico”)

Consultation closes at 5pm on Tuesday, 17 April 2018 and feedback can be emailed to procurement@pharmac.govt.nz.

What would the effect be?

These proposed agreements would supersede any existing DHB contracts with these suppliers for the devices proposed for listing 1 June 2018, subject to consultation and approval by PHARMAC’s Board or delegate (“Agreements”).

The Agreements would provide consistent terms and conditions for these devices for all DHB purchases from the proposed date of listing on the Pharmaceutical Schedule.

PHARMAC estimates that the Downs and Surgico agreements would offer national savings to DHBs of $4,500 and $5,500 per annum respectively, based on current usage.

DHBs would be able to continue to procure other suppliers’ ranges of SUI and Orthopaedic Products, as the Agreements would not be for sole supply.

This proposal does not require DHB hospitals to use single use instruments rather than reusable instruments.

DHBs would have access to educational services which would be tailored to suit the needs of the individual DHB Hospitals.

Who we think will be interested

  • Suppliers and Wholesalers
  • DHB staff:
    • Orthopaedic Surgeons
    • Theatre and Sterile Services personnel
    • Procurement and supply chain personnel

About single use instruments, and orthopaedic implants and associated products

Single use instruments

Single use instruments are designed to be used once and then disposed of or destroyed - these are also known as disposable instruments. Some single use instruments may be used in many hospital settings such as operating theatre, emergency departments, wards and clinics.

While volumes of single use instruments are growing, usage varies in each hospital with many using a combination of single use and reusable instruments.

PHARMAC has not undertaken any work to compare the use or cost effectiveness (including sustainability and carbon costs) of single use instruments with reusable instruments, and this proposal does not require hospitals to switch from reusable instruments.

Orthopaedic implants and associated products

The Orthopaedic implants under this agreement are used to treat bone related injury or disease through surgical intervention. The Associated Products relate to the instruments or products required for preparation and/or adherence at the implant site, or physical manipulation of the implants required when undertaking the surgery.

Why we’re proposing this listing

In 2016, PHARMAC released Request for Proposals for both SUI and othopaedic implants and associated products. The RFPs were for non-exclusive national agreements for listing on the Pharmaceutical Schedule.

PHARMAC has been working with suppliers in order to seek provisional agreements and these are the latest proposals to arise from that process. We intend to consult on proposed agreements with other suppliers over the coming months.

Details about our proposal

PHARMAC has entered into provisional Agreements with Downs and Surgico for a range of SUI and Orthopaedic Products that would result in listing 1485 products on the Pharmaceutical Schedule from 1 June 2018.

A full list of the products has not been included in this consultation for brevity, however we are making it available along with pricing information to appropriate DHB personnel.

DHBs would be able to continue to choose which SUI and Orthopaedic Products they procure.

The Agreement includes terms for training and education services to be provided by Downs and Surgico to DHB personnel on appropriate use of their medical devices, which is to be provided at times as agreed with individual DHBs.

The following information provides a summary of the brands and product ranges in the proposed agreement:

Single use instruments

Supplier

Manufacturer’s Range

Product Brands

Downs

  • DTR Medical
  • Swann Morton

 

  • DTR Medical
  • S Murray

Surgico

  • SKLAR
  • Tru-Punch
 

Orthopaedic implants

Supplier

Manufacturer’s Range

Product Brands

Downs

  • Bien Air
  • Richard Wolf
  • Surgical Holdings
  • Trewavis Surgical
  • Bien Air
  • Richard Wolf
  • Surgical Holdings
  • Trewavis

Surgico

  • Arthrosurface
  • HemiCAP
  • Capitate
  • NanoFX
  • Talus

To provide feedback

Send us an email: procurement@pharmac.govt.nz by 5pm on Tuesday, 17 April 2018.

All feedback received before the closing date will be considered by PHARMAC’s Board (or its delegate) prior to making a decision on this proposal.

Feedback we receive is subject to the Official Information Act 1982 (OIA) and we will consider any request to have information withheld in accordance with our obligations under the OIA. Anyone providing feedback, whether on their own account or on behalf of an organisation, and whether in a personal or professional capacity, should be aware that the content of their feedback and their identity may need to be disclosed in response to an OIA request.

We are not able to treat any part of your feedback as confidential unless you specifically request that we do, and then only to the extent permissible under the OIA and other relevant laws and requirements. If you would like us to withhold any commercially sensitive, confidential proprietary, or personal information included in your submission, please clearly state this in your submission and identify the relevant sections of your submission that you would like it withheld. PHARMAC will give due consideration to any such request.